I have written a small client that logs into yahoo chat with Java. Problems with logging in come down to a mismatch in protocol nearly 99% of the time. Yahoo recently changed their protocol for their chat servers, so you may be using an old protocol to connect.

It would be much easier to help if you show an example of the protocol that you are attempting to use. The one I used happens to be outdated now, I believe. I have not bothered sniffing the traffic between the yahoo chat servers and myself in order to dissect the protocol, as it can be a painstaking process; one which I don't have time for at the moment. A couple of resources I used when creating my client are:

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